For the real value of London property, know your price per square foot

Good value: property in the East London business enclave costs an average £714 a square foot — much less than other prime areas. Image: Alamy

The true cost of property in some of London’s most desirable locations is revealed today in a study of the cost per square foot in 22 areas.

One square foot in Belgravia will set you back well over £2,000 - but prices in other areas reveal them as relative good value, according to the report by Chesterton Humberts.

Other areas offer the prospect of larger price rises as they attract buyers priced out of the very prime locations, with the cheapest in the study being Canary Wharf, where a single square foot costs £714 and prices rose by 11.9 per cent in the three months to March.

Kentish Town, at £790 per sq ft, prices have increased by 6.8 per cent while in Kew, at £883 per sq ft, prices are up by 9.1 per cent.

Lauren Ireland, head of Savills Docklands & Canary Wharf branch, says price rises are the result of Britain’s economic recovery and overseas buyers preferring new-build flats. “In Canary Wharf, international buyers account for more than half of purchasers across all price bands. Chinese buyers account for 19 per cent of international purchases.”

The average cost per square foot of floor space and average price change from end-December 2013 to end-March 2014: